Wall Street Warns Prioritization Will Fail

Some Republican members of the House of Representatives have proposed prioritizing interest payments on U.S. debt as a way to mitigate the effects of a payment default caused by failure to raise the debt ceiling. Wall Street executives are warning that this solution is inadequate. “This is going to be permanently damaging for business and consumer confidence if this happens. People will never look at the United States Treasury the same ever again,” said Tom Simons, money-market economist at Jefferies Group LLC, an investment bank.